BILL ANALYSIS

 

 

                                                                                                                                             H.B. 933

                                                                                                                                           By: Taylor

                                                                                                                                             Insurance

                                                                                                       Committee Report (Unamended)

 

 

 

BACKGROUND AND PURPOSE

 

The current Government Code requires the attorney general to approve liability insurance policy forms for motor vehicle insurance purchase by state agencies.  This statute predates the existence of the State Office of Risk Management (SORM), which now provides risk management services to most state agencies.  Those agencies not receiving these services from SORM are the three largest university systems which have the capability of making appropriate decisions regarding this type of insurance.

 

The purpose of H.B. 933 is to eliminate unnecessary, duplicative efforts by the attorney general in approving these policies.

 

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

 

 

ANALYSIS

 

SECTION 1.   Amends Section 612.002 (b), Government Code, by deleting the language requiring that insurance purchased under this section must be provided on policy forms approved by the State Board of Insurance as to form and by the attorney general as to liability coverage.

 

SECTION 2.   Effective Date

 

 

EFFECTIVE DATE

 

Upon passage, or, if the Act does not receive the necessary vote, the act takes effect September 1, 2005.